Opinion: Obama's Fiscal Reckoning

This transcript has been automatically generated and may not be 100% accurate.

... what's ... more on what we all agree to which is let's keep ... middle-class taxes well ... that's what our economy needs ... with the American people deserve ... and if we get this part of it right ... then ... a lot of the other issues surrounding deficit reduction in a ... fair and balanced responsible way ... are to be a whole lot easier ... than if we get this wrong ... the economy's gotta go south ... present Obama reiterate his support for Ambassador ... Susan Rice and will Democrats have attacked the fiscal cliff negotiations ... welcome to Opinion Journal Live ... on Jason Riley in my first guest is come and gone Kernen talk about those fiscal cliff negotiations welcome though thanks Jason so aam ... what's your take on on where things stand now present said yesterday I'm ... I'd like see something by Christmas aam ... there's some talk of maybe doing something with all the lower tax brackets except that top two percent ... get them on the way and then come back to negotiate those later ... twenty make of it well when it refers let's be clear what the negotiations are ... the president is ... putting on his proposals in the press ... and the press is negotiating with Republicans ... to force and Teekay ... and that's the reality no one's really getting into it and you know real effort to avoid the fiscal cliff ... it's it's the politics of that ... and look at this time and be nice you know we need some ... positive news to encourage the economy's encourage those of us that would like to see ... more responsible on ... fiscal leadership unwashed and I'm not that person ... there have been misunderstood I'm I think the Republicans are ... very tidy fix ... and will have to see will have to see what happens what what what about that ... idea though of doing the everything but the top ... two percent the top tax tax bracket ... aam because I guess the question is ... if the Republicans agree to do that they've lost the leverage there's no reason right for the present come back to the table ... and cut a deal in the top two percent is that I think I was in that go further and I think one of things you can realize is this is not just about this here this is going to set ... the agenda for the next couple of years and I I don't think the president's comments that are going to stop your ... book it comes down to this ... um ... there's a lot of talk to if we go over the fiscal cliff of all this stuff happens ... here's the recession ... the question is if you're the president one how much you believe that we will face his fear recession ... and that if we do ... from this point you will he get the blame for will he be able to blame the Republicans ... if you think he's worried about a recession the Republicans have a little more leverage if you think that he's not worried and on ... he ... has a lot of things that he can to keep he wants to ... tax the rich and almost ... is I think what mistakes we ... we have is that we think of it is an economic proposition where he made clear isn't couple Pizza moral propositions and ... then it's a source of credibility for his party ... and I think he ... feels the need billion to cry uncle last time until someone to do well but I think he killed in one last time yes he will win the PR battle becomes than a week over the flap ... copy will when the blame game he'll say you know I'd I'd leave the thinking is ... my my approval ratings above fifty percent ... Congress of the most unpopular Institute in the country the aisle when ... that could be ... I will just say it's like a bet on it is the day like any tough that is why these here for us out here that that ... when you're the president in your people the White House they tend to be more ... cautious I think the presence one ... but it did me ... you really have to think if there's going to the recession I don't know what advice they're getting from their economists and so forth ... get warm in Aleppo when asked about some these Republicans that ... sound like they may be willing to to to break ranks ... aam and open up higher rates ... on the rich and they're saying they do that in return for some serious ... entitlement reform ... raising age limits means testing ... a way that the appropriate trade off ... on have you ever seen seriously tired ... I think it's like a unicorn I've I've never really seen it so you're asking a hypothetical question you know this is like my knee my daughter asking me how Santa gets ... so I'm and I am not just the look and I think that so many of our of our ... propositions are based on these hypothetical that were operating from the same ... positions in the same goals and I think we're not ... who can believe it there the bank the a ...